NH jobs picture varies sector by sector

By John Nolan

jnolan@fosters.com

fosters.com

By John Nolan

jnolan@fosters.com

Posted Jan. 24, 2013 at 3:15 AM

By John Nolan

jnolan@fosters.com

Posted Jan. 24, 2013 at 3:15 AM

ROCHESTER — According to the latest figures released by New Hampshire Employment Security (NHES), the Granite State closed 2012 with an unadjusted unemployment rate more than half a percentage point higher than in December 2011, which means that its economy is moving opposite to the national trend, which is one of slight improvement.

The unadjusted December 2012 unemployment rate for New Hampshire was 5.6 percent, an increase of 0.2 percentage points from the November rate, which remained at 5.4 percent after revision. The December 2011 unadjusted rate was 4.9 percent.

The national unadjusted rate for December 2012 was 7.6 percent, an increase of 0.2 percentage points from the November rate, but a decrease of 0.7 percentage points from the December 2011 rate.

Seasonally adjusted estimates (which are an slight variance from unadjusted rates, as a rule) for December 2012 placed the number of employed NH residents at 698,430, an increase of 350 from the previous month and a decrease of 4,470 from December 2011. The number of unemployed residents increased by 430 over-the-month to 42,030. This was 3,520 more unemployed than in December 2011. From November to December 2012, the total labor force increased by 780 to 740,460. This was a decrease of 950 from December 2011.

Sector by sector

NHES also published its unadjusted December figures for employment within New Hampshire, and to put these in context with the recession, and the years preceding it, the Rochester Times has prepared charts, each spanning seven years, of six key sectors of the economy.

The overall view is that in December 2012, there were an estimated 535,800 private sector jobs in New Hampshire , which is 1,700 more than in December 2011. At first glance, this would seem to be at odds with the estimate, given above, of 3,520 fewer NH residents working than a year previous. Tens of thousands of residents, however, commute outside the state — particularly the Boston area — to work, and the health of NH’s internal economy is not always in sync with that of the region as a whole.

Construction

In December 2012, there were 22,000 construction jobs in New Hampshire, down 300 over the month and down 200 over the year. In normal times, employment in this sector soars in the summer months, but in July of last year, there were only 23,300 construction jobs, as house building remained stagnant. As the chart shows, in the heady years of 2006 and 2007, there were over 28,000 construction jobs in December — and well over 31,000 jobs in the summers of both those years.

Manufacturing

In December 2012, there were 66,200 manufacturing jobs in New Hampshire. This sector is not prone to marked seasonal fluctuation, but is impacted both by companies moving factories overseas, and by domestic demand. The chart indicates that the steady erosion of manufacturing jobs, which became noticeable in the late 1990s, has been halted over the past three years.

Retail

This is a sector that has seasonal peaks and valleys, with most hiring occurring in the summer tourist season, and in the lead up to Christmas. In December 2012, there were 95,700 workers in retail, up 800 over the month and up 200 jobs over the year. The chart shows that there has been marginal improvement over the past two Decembers, after the loss of around 9,000 jobs from December 2006 to December 2010.

Leisure/Hospitality

This is another sector impacted by the seasons, with most activity occurring in the touristy summer months, and with a small spike in ski season. In December 2012, there were 61,300 people employed, which was up 900 over the month, and up 1,000 over December 2011, when there was a lack of snow. The trend in this sector has been one of growth, and this past summer, over 75,000 people were working in its various aspects — recreation, hotels, arts, food establishments and the like.

Health/Social Assistance

In December 2012, there were 84,800 people working in this sector, which has also been one of steady growth, as the chart shows, until this year. The dip was arguably connected to cuts imposed on hospital Medicaid reimbursement rates, which triggered some hospital layoffs. This employment sector is down 200 jobs over the month and 500 jobs over the year.

Government

This sector has several subsectors — federal, state and local government. As the chart shows, government jobs were added year after year, including the recession year of 2009, until the crunch caught up with it. In December, 2012, there were 95,300 government jobs, which was level over the month but down 1,600 over the year, and almost all of this loss (1,500 jobs) coming from local government. Currently there are 7,300 federal jobs, 26,100 state jobs (which include public education positions), and 61,900 local government jobs spread across the state.